Cajas El Monte, San Fernando, General de Canarias and Sa Nostra mandate CECA & BNP Paribas to arrange an EMTN Programme
Caja Monte de Piedad y Caja de Ahorros de Huelva y Sevilla ("El Monte"), Caja de Ahorros Provincial San Fernando de Sevilla y Jerez ("San Fernando"), Caja General de Ahorros de Canarias ("General de Canarias") and Caja de Ahorros y Monte de Piedad de las Balears - Sa Nostra ("Sa Nostra") have mandated Confederación Española de Cajas de Ahorros ("CECA") and BNP Paribas to arrange a EUR 2 billion Euro Medium Term Note Programme. Signing is scheduled in the near future.
The dealer group has been selected and consists of the following banks:
|ABN Amro Bank||Salomon Smith Barney|
|Bayerische Landesbank||Société Générale|
|Morgan Stanley Dean Witter|
The Programme will be listed on the Luxembourg Stock Exchange and allows for the issuance of Notes in all the main currencies. The minimum maturity is seven days and both senior and subordinated Notes may be issued.
The Spanish savings banks (known as Cajas de Ahorros or Cajas) have traditionally funded themselves through the domestic capital markets; in establishing this programme they achieve their strategic objective of creating a platform through which to access the international capital markets. The Programme also enables the Spanish savings banks' concept to be marketed to international investors.
The Programme is a unique and innovative structure :
It caters for multiple independent issuers off a single programme
It offers the flexibility of easily adding new saving banks to the programme. Initially there will be four cajas participating in the Programme, this number will increase in the future
The programme allows for cajas to issue in their own name (through Cayman Islands special purpose vehicles), as well as with the guarantee of the Aa3-rated CECA.
Specifically, the programme has the following main objectives:
- to allow cajas to issue off the same programme,
- to reduce the cost of accessing the international capital markets,
- to establish name recognition among the international financial community, and
- to diversify sources of funding
The four initial issuers' long-term debt obligations are rated A- by Fitch-IBCA.
CECA is the association of the Spanish savings banks. It was founded in 1928 with the purpose of co-ordinating and representing Cajas de Ahorros, and providing them with the support and assistance necessary for them to carry out their financial and banking activities in an efficient manner. It represents the association of all Spanish savings banks.
Cajas El Monte, San Fernando, General de Canarias and Sa Nostra are all incorporated as Cajas de Ahorros under Spanish law and their main business is retail deposit taking and mortgage lending.